Can AI Infringe Intellectual Property Rights?

Yes, AI can infringe on intellectual property (IP), but the specifics depend on how the AI is used and the type of IP in question. The concept of AI infringing IP is complex and raises several legal and ethical issues. Below are some ways AI can potentially infringe on various forms of IP:

  1. Copyright Infringement

AI can infringe on copyright if it generates content that is too similar to existing copyrighted works. For example:

  • Music and Art: If an AI system is trained on a dataset of copyrighted music or artwork and produces new works that closely mimic the original content, it could be considered a derivative work, potentially infringing on the original copyright.
  • Text: AI systems like text generators could inadvertently produce content that is substantially similar to copyrighted material, leading to possible copyright infringement.

The challenge here is determining the threshold at which AI-generated content is considered infringing. Courts may need to assess whether the AI’s output is transformative or merely a replication of the original work.

  1. Patent Infringement

AI can also play a role in patent infringement, particularly in fields like software development, pharmaceuticals, and manufacturing:

  • Algorithmic Inventions: If an AI system uses a patented algorithm or method without authorization, it could infringe on a patent. For example, an AI-driven software application might incorporate a patented process, leading to infringement.
  • Product Development: AI systems used in product design or drug discovery could inadvertently replicate a patented invention, resulting in patent infringement.

The key issue here is determining who is liable for the infringement—the AI developer, the user, or the entity deploying the AI.

  1. Trademark Infringement

AI can infringe on trademarks in several ways:

  • Content Generation: If AI generates logos, brand names, or advertising slogans that are confusingly similar to existing trademarks, this could lead to trademark infringement. For instance, an AI might create a brand name that sounds or looks too much like an existing trademark, causing consumer confusion.
  • Product Recommendations: AI-driven recommendation systems that incorrectly suggest products as being related to or endorsed by a trademark holder can also lead to trademark infringement.
  1. Trade Secret Misappropriation

AI can infringe on trade secrets, particularly when it involves data processing or algorithmic functions:

  • Data Access and Use: If an AI system is trained on proprietary data that has been acquired without authorization, it could lead to trade secret misappropriation. For example, if an AI is trained using confidential business strategies or customer data without permission, it could violate trade secret laws.
  • Reverse Engineering: AI could be used to reverse-engineer products or algorithms protected as trade secrets, leading to potential misappropriation.

Liability Issues

One of the most significant challenges in AI-related IP infringement is determining liability. Since AI systems act autonomously or semi-autonomously, traditional concepts of liability, which are based on human actions, become complicated. Potential parties that could be held liable include:

  • AI Developers: The creators of the AI system.
  • AI Users: Individuals or companies that deploy AI in their operations.
  • AI Owners: Entities that own the AI system, especially in cases where the AI acts independently.

Courts and legal systems are still grappling with these questions, and the answers may vary depending on jurisdiction and the specific circumstances of the infringement.

Conclusion

Yes, AI can infringe on IP, and as AI becomes more sophisticated and integrated into various aspects of life, the likelihood of such infringements may increase. Legal systems worldwide will need to evolve to address these challenges, balancing the protection of intellectual property with the promotion of innovation and the responsible use of AI technology

 

Tracy Jong is a Senior attorney at Evans Fox LLP with 30 years of experience focusing her practice in business law, intellectual property and licensing for alcohol and cannabis. Tracy Jong is a member of the New York Bar and is a registered attorney at the United States Patent and Trademark Office. She can be reached at [email protected].

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The content has been prepared for informational purposes only; it should not be construed as legal advice, does not create or constitute an attorney-client relationship, and readers should not act upon it without seeking professional counsel.